SMART Global Holdings, Inc. Files 10-Q for Period Ending March 1, 2024

TL;DR

<b>SMART Global Holdings, Inc. has filed its quarterly report (10-Q) for the period ending March 1, 2024.</b>

AI Summary

SMART Global Holdings, Inc. (PENG) filed a Quarterly Report (10-Q) with the SEC on April 9, 2024. SMART Global Holdings, Inc. filed a 10-Q report for the period ending March 1, 2024. The filing covers the second quarter of fiscal year 2024. The company's fiscal year ends on August 26th. The filing was made on April 9, 2024. SMART Global Holdings, Inc. is in the Semiconductors & Related Devices industry.

Why It Matters

For investors and stakeholders tracking SMART Global Holdings, Inc., this filing contains several important signals. This filing provides investors with an update on the company's financial performance and operational status for the second quarter of fiscal year 2024. As a public document, it is crucial for understanding the company's current financial health and any potential risks or opportunities.

Risk Assessment

Risk Level: low — SMART Global Holdings, Inc. shows low risk based on this filing. The filing is a standard 10-Q, indicating routine financial reporting without immediate red flags.

Analyst Insight

Review the detailed financial statements and management discussion within the 10-Q to assess SMART Global Holdings, Inc.'s performance and outlook.

Key Numbers

• 2024-03-01 — Period End Date (Conformed Period of Report)
• 2024-04-09 — Filing Date (Filed as of Date)
• 2024-03-01 — Fiscal Quarter End Date (Fiscal Quarter End Date)
• 2023-08-26 — Fiscal Year End (Fiscal Year End)

Key Players & Entities

• SMART Global Holdings, Inc. (company) — Filer
• 0001616533 (company) — Central Index Key
• 3674 (regulator) — Standard Industrial Classification
• 001-38102 (regulator) — SEC File Number
• 24833616 (regulator) — Film Number
• 39870 EUREKA DRIVE (company) — Business Address Street 1
• NEWARK (company) — Business Address City
• CA (company) — Business Address State

FAQ

Industry Context

SMART Global Holdings, Inc. operates within the Semiconductors & Related Devices sector.

Regulatory Implications

The filing is a standard 10-Q, adhering to SEC regulations for quarterly reporting by public companies.

What Investors Should Do

1. Analyze the financial statements for revenue, net income, and cash flow.
2. Review management's discussion and analysis for insights into business operations and future outlook.
3. Identify any significant changes in risk factors or legal proceedings.

Year-Over-Year Comparison

This is the initial filing data provided for the 10-Q report ending March 1, 2024.

Key Financial Figures

• $0.03 — e on which registered Ordinary shares, $0.03 par value per share SGH Nasdaq Global S

Filing Documents

• sgh-20240301.htm (10-Q) — 1387KB
• sghq2-24form10xqex101.htm (EX-10.1) — 58KB
• sghq2-24form10xqex311.htm (EX-31.1) — 10KB
• sghq2-24form10xqex312.htm (EX-31.2) — 10KB
• sghq2-24form10xqex321.htm (EX-32.1) — 4KB
• sghq2-24form10xqex322.htm (EX-32.2) — 4KB
• gbdou1amziqb000001.jpg (GRAPHIC) — 4KB
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• sgh-20240301_g2.jpg (GRAPHIC) — 76KB
• 0001628280-24-015494.txt (&nbsp;) — 8894KB
• sgh-20240301.xsd (EX-101.SCH) — 64KB
• sgh-20240301_cal.xml (EX-101.CAL) — 126KB
• sgh-20240301_def.xml (EX-101.DEF) — 342KB
• sgh-20240301_lab.xml (EX-101.LAB) — 749KB
• sgh-20240301_pre.xml (EX-101.PRE) — 543KB
• sgh-20240301_htm.xml (XML) — 1203KB

Financial Information

PART I. Financial Information Item 1

Financial Statements

Financial Statements 4 Item 2

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 3

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 34 Item 4

Controls and Procedures

Controls and Procedures 35

Other Information

PART II. Other Information Item 1

Legal Proceedings

Legal Proceedings 36 Item 1A

Risk Factors

Risk Factors 36 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 36 Item 3 Defaults Upon Senior Securities 36 Item 4 Mine Safety Disclosures 36 Item 5 Other Information 37 Item 6 Exhibits 37

Signatures

Signatures 38 2 Cautionary Note Regarding Forward-Looking Statements This Quarterly Report on Form 10-Q ("Quarterly Report") contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995 that are not historical in nature, that are predictive or that depend upon or refer to future events or conditions. These statements include, but are not limited to, statements regarding our future financial or operating performance, the extent and timing of future revenues and expenses and customer demand; statements regarding the deployment of our products and services; statements regarding our reliance on third parties; and statements using words such as "anticipate," "believe," "could," "estimate," "expect," "forecast," "intend," "plan," "potential," "should" and similar words and the negatives thereof. These forward-looking statements are based on our current expectations or forecasts of future events, circumstances, results or aspirations and are subject to a number of significant risks, uncertainties and other factors, many of which are outside of our control, including but not limited to, global business and economic conditions and growth trends in technology industries, our customer markets and various geographic regions; uncertainties in the geopolitical environment; the ability to manage our cost structure; disruptions in our operations or supply chain; changes in trade regulations or adverse developments in international trade relations and agreements; changes in currency exchange rates; overall information technology spending; appropriations for government spending; the success of our strategic initiatives including additional investments in new products and additional capacity; acquisitions of companies or technologies and the failure to successfully integrate and operate them or customers' n

Financial Information

PART I. Financial Information

Financial Statements

Item 1. Financial Statements INDEX TO FINANCIAL STATEMENTS Page Consolidated Balance Sheets 5 Consolidated Statements of Operations 6 Consolidated Statements of Comprehensive Income (Loss) 7 Consolidated Statements of Shareholders' Equity 8 Consolidated Statements of Cash Flows 10

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 11 4 SMART Global Holdings, Inc. Consolidated Balance Sheets (In thousands, except par value amount) (Unaudited) As of March 1, 2024 August 25, 2023 Assets Cash and cash equivalents $ 442,329 $ 365,563 Short-term investments 23,439 25,251 Accounts receivable, net 169,718 219,247 Inventories 172,763 174,977 Other current assets 76,481 51,790 Current assets of discontinued operations — 70,574 Total current assets 884,730 907,402 Property and equipment, net 109,516 118,734 Operating lease right-of-use assets 62,529 68,444 Intangible assets, net 140,923 160,185 Goodwill 161,958 161,958 Deferred tax assets 73,914 74,085 Other noncurrent assets 83,884 15,150 Total assets $ 1,517,454 $ 1,505,958 Liabilities and Equity Accounts payable and accrued expenses $ 182,021 $ 182,035 Current debt — 35,618 Deferred revenue 37,228 48,096 Acquisition-related contingent consideration — 50,000 Other current liabilities 48,710 32,731 Current liabilities of discontinued operations — 77,770 Total current liabilities 267,959 426,250 Long-term debt 740,663 754,820 Noncurrent operating lease liabilities 62,585 66,407 Other noncurrent liabilities 34,743 29,248 Total liabilities 1,105,950 1,276,725 Commitments and contingencies SMART Global Holdings shareholders' equity: Ordinary shares, $ 0.03 par value; authorized 200,000 shares; 58,972 shares issued and 52,287 outstanding as of March 1, 2024; 57,542 shares issued and 51,901 outstanding as of August 25, 2023 1,769 1,726 Additional paid-in capital 502,560 476,703 Retained earnings 48,916 82,457 Treasury shares, 6,685 and 5,641 shares held as of March 1, 2024 and August 25, 2023, respectively ( 148,309 ) ( 132,447 ) Accumulated other comprehensive income (loss) 106 ( 205,964 ) Total SGH shareholders' equity 405,042 222,475 Noncontrolling interest in subsidiary 6,462 6,758 Total equity 411,504 229,233 Total liabilities and equity $ 1,517,454 $ 1,505,9

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (Tabular amounts in thousands, except per share amounts) (Unaudited) Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements include the accounts of SMART Global Holdings, Inc. and its consolidated subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") consistent in all material respects with those applied in our Annual Report on Form 10-K for the fiscal year ended August 25, 2023 and the applicable rules and regulations of the Securities and Exchange Commission ("SEC") regarding interim financial information. Certain information and disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. In the opinion of our management, the accompanying unaudited consolidated financial statements contain all necessary adjustments, consisting of a normal recurring nature, to fairly state the financial information set forth herein. These consolidated interim financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the fiscal year ended August 25, 2023. Presentation of SMART Brazil as Discontinued Operations : On June 13, 2023, we entered into an agreement to divest of an 81 % interest in SMART Modular Technologies do Brasil – Indstria e Comercio de Componentes Ltda. ("SMART Brazil"). We concluded that, as of August 25, 2023, (i) the net assets of SMART Brazil met the criteria for classification as held for sale and (ii) the proposed sale represented a strategic shift that was expected to have a major effect on our operations and financial results. On November 29, 2023, we completed the divestiture. The balance sheets, results of operations and cash flows of SMART Brazil have been present

View Full Filing

View this 10-Q filing on SEC EDGAR